Studying for business report and essay Example | Topics and Well Written Essays - 2000 words

Studying for business report and - Essay Example the government has to curb their control over the supermarket industry as it forms a major part of the economy and may negatively affect economic growth if the government puts restrictions on it. The supermarkets in the UK market compete each other closely and have price wars. According to Maddox (2004), they offer the consumers special discounts, sales and have weekly promotions etc on special items all to attract more consumers by giving them price discounts. Stores like Tesco and Nettle and especially known to have low-priced products. Capizzi (2005) argues on the other hand stores like Sainsbury try to compete their pricing by offering seasonal price cuts. Due to all these price wars, the customers gain in the process. Moreover, the UK market has saturated and new consumers are not found. Thus the supermarkets have to steal market share from one another which they do by cutting prices. Such competition results in low prices for consumers which is very beneficial for them especially in an economic downturn. The superstores add convenience to the way consumers shop. Previously consumers had to go to different stores to buy food items and non food items. But with the advent of supermarkets, consumers have the convenience of shopping for everything they need under one roof. This adds to convenience. They also save on travelling expenses and time which is very essential for them as many consumers now have to work in two jobs. Moreover according to Maddox (2004), even women work and thus they enjoy the convenience offered by these superstores. There is also a growing trend of offering online shopping. The supermarkets have online stores and the consumers can order online and have the products delivered at home. This saves them time which they really appreciate. However, the delivery may not be efficient and online stores may not have all the variety and brands offered in-store. Thus many times